2 Semiconductor Stocks to Buy Amid the Automotive Chip Shortage, and 1 to Watch
The empty lots at new car dealerships have attracted the attention of most Americans regardless of whether they pay attention to the semiconductor industry. Thanks to a shortage of semiconductor chips, automobile factories are being temporarily idled, and used car prices have shot higher amid the rising demand for cars.
However, the shortage of such chips has placed the focus on some semiconductor companies that previously received little attention, such as NXP Semiconductors (NASDAQ:NXPI), Texas Instruments (NASDAQ:TXN), and GlobalFoundries (NASDAQ:GFS). Let’s take a closer look at these three companies.

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Understanding the automotive chip shortage
The semiconductor shortage has affected all tech-related industries. Nonetheless, the nature of the chip shortage differs in the automotive industry.
Consumers who have experienced a decades-long upgrade cycle often pay little heed to less advanced chips. However, a robust market for larger, slower chips remains, and the automobile sector